Tuesday, 25 March 2014

Appointment Of Arbitrator





Arbitration is settlement of a dispute by the decision not of a regular and ordinary court of law but of one or more persons who are called arbitrators.
 Natural person who resolves the dispute between parties specially by means of formal arbitration. Umpire is an impartial person appointed to make an award usually when arbitrator has failed to agree. The court of law has power to appoint arbitrator under following heads.


i- Power to appoint u/s 8
 ii- Power to appoint u/s 12
iii- Power to appoint u/s 20(4)
Appointment u/s 8 is initial as well as subsequent
i- Initial appointment
ii- Subsequent appointment

 Initially an arbitrator shall be appointed with the consent of parties. There must be a valid arbitration agreement for initial appointment. Where initially appointed arbitrator neglects, refuses or becomes incapable to act or dies, a subsequent arbitrator shall be appointed. One of the parties to agreement shall serve a notice to another for appointment of arbitrator. The other party to the agreement fails to appoint within 15 days of the service of notice.

. Party who served the notice must apply to the court for the appointment of arbitrator. The court shall hear the both side till its satisfaction. If all the requirements have been fulfilled and the court is satisfied, the new arbitrator shall be appointed by court. Arbitrator u/s 12 can only be appointed where the first arbitrator is removed or his authority has been revoked.


  Appointment u/s 12 is always subsequent. Where the arbitrator is appointed with the common consent of the parties and parties fail to appoint or arbitrator fails to act, the court shall appoint a subsequent arbitrator. An umpire is appointed by the court where the arbitrator appointed u/s 8, 12 and 20(4) have been failed to agree
.i- Arbitrator cab be appointed by the arbitration agreement
 ii- Umpire cannot be appointed by arbitration agreement


0 comments:

Post a Comment